Project Management for Oil Tank Renovation in Australia

This project management report focuses on resolving the issues and challenges faced by an oil company in Australia with the site location of oil tank. The report includes project goal, scope statement, problem domain, stakeholder analysis, resource management plan, key deliverables, acceptance criteria, project overview, and conclusion.

Assignment
Project Management

Project Management
Contents
1. Introduction.........................................................................................................................2
2. Project Goal........................................................................................................................2
3. Project scope statement.......................................................................................................2
4. Problem domain:.................................................................................................................4
5. Stakeholder analysis...........................................................................................................4
6. Resource management plan................................................................................................6
7. Key deliverables.................................................................................................................7
8. Acceptance criteria.............................................................................................................7
9. Project Overview................................................................................................................7
10. Conclusion:...................................................................................................................11
11. References.....................................................................................................................11
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Project Management
1. Introduction
The purpose of this paper is to solve the issues and challenges which exist with the site
location of oil tank in Australia. The sites of the oil company are geographically apart which
require renovation in the existing condition of the tanks for managing the distribution of oil
precisely to the destination point (Chang, 2015). The problem of oil leakage is the major
problem which exists with the company and becoming major hurdle in restricting growth of
the firm.
2. Project Goal
The focus of the project proposal is to resolve the issues and challenges which the company
faced in handling of the oil tankers at different location. The environmental issues also have
to settle down to preserve the ecological balance in the society. The eco-friendly project plan
should be developed to manage the operational capabilities of the enterprise. The flammable
vapours can affect the growth of the local people. The project is designed for making a
patching over the leakage point of the tanks so that no harms to the environment happen. The
goal of the project plan is to cover the area of major concern and get the solution regarding it.
The major concerns areas of the project are:
 Project scheduling activities in relation with the filling of the tank situation at
different locations: It helps in resolving the problems faced by the local community
members in filling of the tank at different location.
 Minimizing the environmental damage due to the release of flammable vapours from
the leakage point of the tanks: It can be done by applying patching process on the
leakage point.
 Renovation of the tank by patching on the leakage points of the tank: It can be done
by applying steel patches on the leakage point.
 Preparation of the project design and solution: The design of the project include
installation of the main supply valve, anchor pipes, and steel patches
3. Project scope statement
Tank Number In-scope activities Out of Scope activities
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Project Management
Tank 1 Storing capacity of the tank 1
should extended to around 1
million litres capacity
2 metres square dimension
steel patching is required all
over the tank leakages point
Balancing the renovation of
the tank at height with the
inclusion of four anchors
Requirement of 4 steel
patches
Arrangement of Tank
Cleanliness program
Exterior painting of the tank
Re-painting of the tank from
inside is not required
Tank 2 Storing capacity of the tank 2
should extended to around 3
million litres capacity
3 metres square dimension
steel patching is required all
over the tank leakages point
Requirement of seven steel
patches
Balancing the renovation of
the tank at height with the
inclusion of four anchors
Re-painting of the tank from
inside is not required
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Project Management
Arrangement of Tank
Cleanliness program
Exterior painting of the tank
Tank 3 Storing capacity of the tank 3
should extended to around 7
million litres capacity
1.5 metres square dimension
steel patching is required all
over the tank leakages point
Requirement of six steel
patches
Balancing the renovation of
the tank at height with the
inclusion of four anchors
Installation program for main
supply valve with the radius
of 150 mm
Arrangement of Tank
Cleanliness program
Exterior painting of the tank
Re-painting of the tank from
inside is not required
4. Problem domain:
The project should focus on the patching system to prohibit the release of flammable gaseous
vapour during the delivery of the fuel oil.
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Project Management
5. Stakeholder analysis
Name of the stakeholder Role Responsibilities
M.F. Hussain Project Manager He is responsible for
handling review meetings
with the team member
Approving the proposal of
patching system (Felipe,
2009)
Analysis of the problem
criteria
Preparation of the activity
schedule (Willet, 2014)
R. Radhakrishanan Project Sponsor Managing the cash inflow
and outflow activities
Sponsoring the approved
budget of the project to carry
out the activities
Review meetings
L M Prasad Project owner Reviewing of the project
proposal
Approval of the project
proposal plan
K. Jones Accountant Managing the cash inflow
and outflow activities
Preparing budget
Calculating difference in the
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Project Management
actual and the budget cost
M. Chang Geologist engineer Inspection of the tank from
outside and inside
Proposing the cleanliness
plan of the tank
Exterior painting
Approving the plan of
patching system (Thuyet,
2015)
Approving plan of changing
main supply valve of tank 3
K. Wuest Environmental Engineer Measuring the negative
consequences of the
flammable gases (Interactive
economics, 2015)
Including eco-friendly
activities in the project plan
(Wallace, 2016)
Predicting problems of the
local villagers.
6. Resource management plan
Location Resources required Quantity of resources
required
Location Tank 1 Oil tanker Capacity 1 million litre
Steel patching material 4 patches
Anchor pipes of steel 4 anchor
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Project Management
Requirement of Paint Exterior capacity of the tank
Location Tank 2 Oil tanker Capacity 3 million litre
Steel patching material 6 patches
Anchor pipes of steel 4 anchor
Requirement of Paint Exterior capacity of the tank
Location Tank 3 Oil tanker Capacity 7 million litre
Steel patching material 6 patches
Anchor pipes of steel 4 anchor
Requirement of Paint Exterior capacity of the tank
Valve 300mm in diameter
7. Key deliverables
 Documentation of the working schedule of project activities
 Analysis of the tank leakages
 Risk Management plan
 Resource management plan
 Acceptance criteria
 Requirement of the renovation
 Managing the delivery of the fuel oil
 Resolving issues and challenges of the project
8. Acceptance criteria
The project report will be acceptable by the project owner if it is capable of
 Stopping the leakage of the fuel oil from the tanks
 Effective working of the patching system (Candreva, 2013)
 Resolving environmental issues of the project
 Successful delivery of the fuel oil to the destination point
 Effective cleanliness plan of the project (Baker, 2010)
9. Project Overview
The Process Life cycle of the project for all the three tanks are describe in the table below:
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Project Management
Location Project Phases Description
Tank 1 Project requirement phase Extending the capacity of the
tank
Applying patching on the
leakages
Covering areas of packages
with steel patches and
anchors
Project analysis Communication with the
local villagers for analysing
the ill effect of flammable
vapours of fuel oil
Environmental Hazards
Analysis the application of
patching to the leakages areas
Project Designing Applying patches to the
leakage points of the tank
Increasing capacity up to 3
million litres
Applying 4 steel patches
Applying 4 steel anchors
Project implementation Implementation of
cleanliness plan, patching all
over the leakage points, and
repainting the exterior of the
tank
Project closure Success in stopping the
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Project Management
leakage from tanks and
release of flammable vapours
Tank 2 Project requirement phase Extending the capacity of the
tank
Applying patching on the
leakages
Covering areas of packages
with steel patches and
anchors
Project analysis Communication with the
local villagers for analysing
the ill effect of flammable
vapours of fuel oil
Environmental Hazards
Analysis the application of
patching to the leakages areas
Project Designing Applying patches to the
leakage points of the tank
Increasing capacity up to 3
million litres
Applying 6 steel patches
Applying 4 steel anchors
Project implementation Implementation of
cleanliness plan, patching all
over the leakage points, and
repainting the exterior of the
tank
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Project Management
Project closure Success in stopping the
leakage from tanks and
release of flammable vapours
Tank 3 Project requirement phase Extending the capacity of the
tank
Applying patching on the
leakages
Covering areas of packages
with steel patches and
anchors
Project analysis Communication with the
local villagers for analysing
the ill effect of flammable
vapours of fuel oil
Environmental Hazards
Analysis the application of
patching to the leakages areas
Project Designing Applying patches to the
leakage points of the tank
Increasing capacity up to 7
million litres
Applying 6 steel patches
Applying 4 steel anchors
Installation of the main
supply valve
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Project Management
Project implementation Implementation of
cleanliness plan, patching all
over the leakage points, and
repainting the exterior of the
tank
Project closure Success in stopping the
leakage from tanks and
release of flammable vapours
10. Conclusion:
The successful implementation of the proposed activity of the patching system helps in
overcoming the problem of leakages faced by the project owner and the local villagers. The
successful implementation plan of the project helps in making ecological balance with the
environment.
11. References
Baker, C. (2010). Report on stakeholder analysis and strategies for stakeholder engagement.
1st ed. [ebook]. Available at: http://www.wetwin.eu/downloads/D2-1.pdf [Accessed 30 Mar.
2018].
Candreva, F. (2013). Safety guidelines and good industry practices for oil terminals. 1st ed.
[ebook]. Available at:
https://www.unece.org/fileadmin/DAM/env/documents/2014/TEIA/COP__Gva__3-
5_Dec_14/SG_and_GIP_for_OT_presented_to_the_Bureau___E.pdf [Accessed 30 Mar.
2018].
Chang, J. (2015). Petroleum tank farm and distribution facility: Project implementation
plan. 1st ed. [ebook]. Avaialble at: http://portcolborne.com/fileBin/library/Nyon%20Oil
%20Port%20Colborne%20Energy%20Park%20Petroleum%20Tank%20Farm
%20%20Distribution%20Facility%20Implementation%20Plan%20-%20Final.pdf [Accessed
30 Mar. 2018].
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Project Management
Felipe, L. (2009). Fuel farm feasibility study. 1st ed. [ebook]. Available at:
http://www.nzta.govt.nz/assets/resources/domestic-sea-freight-development-fund/fuel-farm-
feasibility-study/docs/fuel-farm-feasibility-study.pdf [Accessed 30 Mar. 2018].
Interactive economics. (2015). Economic report on petroleum storage tanks in washington.
1st ed. [ebook]. Available at:
http://plia.wa.gov/wp-content/uploads/2016/12/PLIA_Economic_Impacts_Report.pdf
[Accessed 30 Mar. 2018].
Thuyet, N. (2015). Risk management plan in oil and gas construction project in Veitnam. 1st
ed. [ebook]. Available at: ftp://est.ufmg.br/pub/lupercio/management/sem_0718.pdf.pdf
[Accessed 30 Mar. 2018].
Wallace, W. (2016). Project management for oil and gas industry. 1st ed. [ebook]. Available
at: https://www.ebsglobal.net/EBS/media/EBS/PDFs/Project-Management-Oil-Gas-Course-
Taster.pdf [Accessed 30 Mar. 2018].
Willet, I. (2014). Watershed management system for water quality improvement. 1st ed.
[ebook]. Available at: https://ageconsearch.umn.edu/bitstream/118379/2/wp52.pdf [Accessed
30 Mar. 2018].
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